The Company has four tranches of debentures outstanding:
£200 million 6.75% First Mortgage Debenture Bonds due 2020
£310 million 5.357% First Mortgage Debenture Bonds due 2028
£330 million 5.264% First Mortgage Debenture Bonds due 2035
£110 million 5.0055% First Mortgage Amortising Debenture Bonds due 2035
The company is required to deliver to the trustees, each year, a valuation of, and a report by the auditors on the net annual income from, the charged properties. If such valuation shows the aggregate value of the charged properties is more than one and two-thirds times the nominal value of Bonds outstanding and that the net annual income is not less than the gross annual interest on the Bonds, then the Company may withdraw mortgaged properties provided that these tests continue to be met. If such valuation shows that the aggregate value of the charged properties is less-than one and one-half times the nominal value of Bonds outstanding or that the new annual income is less than the gross annual interest on the Bonds, the Company is obliged to provide additional security so that these tests are met. The company has the right to substitute properties of equal value and income in the security pool. The debentures benefit from a combined collateral pool valued at £1,667,330,000, comprised of £1,667,330,000 of properties valued by the Company's Valuers Knight Frank, of £85,760,612. The asset cover ratio is 1.851 times and income cover ratio 1.717 times.
Trustee
Royal Exchange Trust Company Limited
4th Floor
40 Duke's Place
London EC3A 7NH
Registrar and Paying Agent
JP Morgan Chase Registrars
34 Beckenham Road
Beckenham
Kent
BR3 4TU
Telephone: 0870 162 3128
Information on collateral pool
The debentures benefit from a combined collateral pool valued at £1,667,330,000, comprised of £1,667,330,000 of properties valued by the Company's Valuers Knight Frank, at 30 September 2014 with a net annual income, certified by the auditors, of £85,760,612. The assets cover ratio at 30 September 2014 is 1.851 times and income cover ratio 1.717 times. The pool has 21 properties and 137 tenants. The geographic and sector diversity of the collateral pool by market value and net annual income is shown below:
Geographic Diversity
Area | Market Value | Rent Diversity |
|---|---|---|
| East Midlands | 6.9% | 6.8% |
| Greater London | 1 8% | 2.2% |
| North | 17.9%. | 17.4% |
| North West | 6.0% | 7.1% |
| Scotland | 1.1% | 1.5% |
| South East | 18.2% | 13.4% |
| South West | 6.5% | 7.4% |
| West End | 36.3% | 38.7% |
| Yorks & Humberside | 5.2% | 5.6% |
Sector Diversity
Area | Market Value | Rent Diversity |
|---|---|---|
| Department Stores | 1.9% | 1.9% |
| Retail Warehouses | 61.8% | 59.4% |
| West End Offices | 36.3% | 38.7% |
Gross annual income by tenant
The top 10 tenants contribute 48.8% to the pool’s income (by gross annual income) as follows:
| % | |
|---|---|---|
| 1 | Sec of State for Communities | 15.9% |
| 2 | Next Group PLC | 6.2% |
| 3 | JP Morgan Chase Bank, NA | 4.7% |
| 4 | Homebase Limited | 4.5% |
| 5 | Marks & Spencer PLC | 4.3% |
| 6 | ATOS IT Services Uk Limited | 3.3% |
| 7 | DSG Retail Limited | 3.1% |
| 8 | Hachette UK Ltd | 2.5% |
| 9 | Debenhams Retail Plc | 2.4% |
| 10 | Elexon Limited | 2.1% |
The following properties were charged at the debenture pool as at 30 September 2014
Mayflower Retail Park,Basildon
Weston Lock Retail Park Bath
Tollgate Centre, Colchester
Cuckoo Bridge Retail Park Dumfries
Euston Tower, Euston Road, London
1,4 and 7 Triton Square. Euston Road, Landon
Westside Retail Park, Leeds
Teesside Retail Paik. Stockton
Westgate Retail park, Wakefield
Teesside Park Phase 2 Stockton
Orbital Shopping Park, Swindon
Homebase, Harrow Weald
Homebase. Walton on Thames
Homebase, Richmond
338 Euston Road, London
Next, Camberley
350 Euston Road, London
Denton Crown Point Retail Park, Dentnn
Orpington Nugent Retail Park. Orpington
Giltbrook Retail Park, Giltbrook
The Arding & Hobbs Department Store, Clapham